What transpired
2009-03-15 12:30:19
By Staff Writer
After three weeks of prominent leaders accusing each other of having a hidden agenda on the proposed 60bn/- Dowans takeover, the truth on what transpired is finally coming out.
While some champions of the deal were being accused of receiving close to $300,000 in bribes to support the controversial deal, one of the accused yesterday denied taking a bribe but instead said he was acting with the best interests of the country at heart.
Kigoma North MP Zitto Zuberi Kabwe told The Guardian on Sunday in an exclusive interview, ``We were pushed by the current situation facing the nation…Tanzanians need electricity not cheap politics.``
``But if our colleagues have decided to tread on rumours claiming that I was bribed $70,000 to support the deal, then one day history will judge me and my family…I stand for the national interests,`` Kabwe said.
The Guardian on Sunday wanted to get his side of the story plus what really transpired during the February 21 meeting that opened the floodgates on mudslinging politics among prominent leaders.
``I am puzzled by these allegations. The media has reported that I was bribed quoting some legislators but the truth remains very clear - I have never received even a single shilling, let alone thousands of dollars,`` Kabwe said.
Kabwe, who is chairman of the parliamentary committee responsible for overseeing all publicly owned corporations, said the members of his committee were deeply concerned by the looming power crisis that the nation could face in the next six months.
Kabwe said it all started when Tanesco Managing Director Dr Idrisaa Rashidi presented on the state of his company, revealing that the nation was facing a serious threat if emergency measures were not taken.
According to the available records of the meeting, Kabwe asked the Tanesco MD whether he was aware that Dowans owed the state-owned company $23m following the termination of their contract mid last year.
The MD responded, ``I am aware about that - that`s why we said if we are going to buy their equipment, we shall offset the debt during the payment procedures.``
The Kigoma North MP further asked the MD whether he was aware that his proposal to buy the Dowans plant had already been rejected by the Parliamentary Committee on Energy and Minerals last December.
Dr Rashidi responded, ``We proposed to the government to buy the Dowans` plant…and we still stick with our proposal. But if it is impossible, then let's be ready to face the serious power rationing.``
Members of the committee were irked by their counterparts, who rejected the Tanesco proposal on the grounds that the Public Procurement Act doesn't allow the purchase of used equipment.
``The same parliament has approved the purchase of IPTL plants which are 14 years old, but they are rejecting the proposal to buy Dowans, which is only two years old,`` Kabwe told The Guardian on Sunday.
The two parliamentary committees - the one led by Kabwe and the other chaired by legislator William Shelukindo - have strongly differed on the Downs deal, raising a heated debate during the past few weeks.
Defending his committee`s decisions, Kabwe added that during the meeting Tanesco made it very clear that an international inspecting team had thoroughly inspected the Dowans equipment and found it to be fit for producing electricity for the next two decades.
Before proposing the takeover deal, Tanesco appointed a UK based firm, Trans Canada Turbines Ltd, to inspect the Dowans plants currently under Tanesco`s supervision following the termination of the contract in August 2008.
``This is a specialised company in inspecting power generating turbines…it is a globally respected company in this particular business,`` Dr Rashidi assured Kabwe`s committee.
The MD added that Tanesco invited another international firm, called Lame International, to verify prices and value for money for the proposed Dowans equipment.
``After the presentation, all my committee members were shocked by the current situation,`` Kabwe said. ``We acted based on the presentation from Tanesco, not from thousands of dollars from Dowans or whoever as it is claimed by our colleagues.``
The state of Tanesco
Political backbiting aside, supporters of the Dowans deal say Tanzania has two choices - acquire an emergency power generating plant or face a total blackout in next 180 days.
As the debate festers on whether the Tanesco Board of Directors should buy the emergency power generating plant, inside details show that the power utility is at the brink of collapse due to the heavy costs of operation, largely attributed to capacity charges.
In 2004, the company paid 43/- to private power producers for every 100/- it collected in revenue. By 2006, when dubious government deals were made with private companies, that figure had more than doubled, to 104/- for every 100/- collected, according to the parliamentary committee presentation.
In 2007/08, the company spent 83/- for every 100/- it collected to foot the bill of power generated by private producers, but this year, the figures will soar even higher - to 106/- for every 100/- collected, according to the financial recovery plan seen by The Guardian on Sunday.
In other words, 83 percent of the total revenue collected by the state-owned utility company will go to private power producers, leaving the company in dire financial straits.
Over the past two years, the company`s revenue collection has spiked by 122 percent, reaching 437bn/- a year up from 196bn/- in 2006.
The company currently purchases about 59 percent of its power from private producers, which according to financial details eats up to 83 percent of the total revenue collected annually.
With dilapidated infrastructure built mainly during the 1970s, the company`s power supply capacity is estimated at 595megawatts.
This year, the actual demand is 787megawatts - creating a deficit of 192megawatts.
According to available details, the company has only 670,000 customers.
Last year, the company planned to increase its customer base by about 100,000, but the target couldn't be reached due to financial strains.
Still, based on current economic growth, demand for electricity is estimated to increase by 15 percent annually, while the production capacity continues to dwindle due to various technical and non-technical factors.
Since there are no comprehensive power generating plans, in 2010, the power deficit will surge to 300megawatts, putting the country at risk of facing an even worse phase of power rationing.
Today, the company's electricity loss - meaning the amount of energy lost when transmitted from point a to point b - is 24 percent, a staggering amount when compared to countries like South Africa where that loss is below 4.5 percent.
The company has a total 600 vehicles but only 10 percent are in good condition. The rest are defective, adding more operational obstacles to the already struggling power utility.
The state-owned company needs about $200m for major repairs on its dilapidated infrastructure, but so far there`s nowhere to get the money from.
Just two years ago, the company borrowed $300m from a consortium of local banks at 10 percent interest per annum, but almost 80 percent of that money went straight to settling outstanding debts.
Tanesco's report to the parliamentary committee convinced Kabwe and the other members to give a nod to the proposed Dowans deal, even though Tanesco eventually pulled out of the deal this week after some MPs led by the Speaker of the National Assembly Samuel Sitta strongly opposed the proposal.
Both Dr Rashidi, Kabwe`s committee members and Minister for Energy and Minerals William Ngeleja still believe there wasn`t anything wrong with the proposed takeover.
But critics have nonetheless questioned their support for the deal, and Parliament may be ready to crucify the minister for energy and minerals should the deal go through as proposed.
However, finally the government pulled out officially when energy minister declared that the debate on Dowans takeover deal has been closed, ending weeks of accusations and mudslinging politics.
SOURCE: Sunday Observer
Tatizi letu Wabongo ni kuwa si wakweli wa nafsi zetu na yule anaekuwa mkweli basi huonekana allien.
Nampongeza Zitto kwa kuwa mkweli na muwazi na kupima mambo kwa uhalisia wake. Kwa kawaida mtu anaetaka kujenga anakubali kukabili matatizo kwani kujenga ni kazi, na mtu kama Kabwe ni mjengaji. Kwani Zitto na hao wajumbe wake walikuwa hawajui kuwa ili uonekane shujaa kwa Bongo basi lazima ufuate ngoma ya siuk na kwa sasa ni kupinga ufisadi? Wanalijua hilo na hata hivyo kwa uzalendo wao waliamua kujitowa muhanga kupingana na wale wanaotafuta NJIA RAHISI YA KUPATA SIFA nayo ni kupinga tu kinachoitwa ufisadi. Ni njia rahisi kwani hakuna atakaekwambia sawa unapinga sasa tupe njia mbadala. Hao wote wanaopinga wamekuja na njia mbadala wa kutatuwa tatizo la umeme hapa Tanzania? Labda Mwakyembe ambaye hata hivyo anakiri kuwa huo ufumbuzi ni ndoto au ni mimba ambayo haijulikani itazaliwa lini.
Nasisitiza tena kuwa hao wanaopinga wanafanya hivyo kwa kutafuta ushujaa kwani kama ni kweli wanatilia maanani maslahi ya Taifa wao ni Viongozi wetu na wana madaraka na uwezo mkubwa wa kielimu na tumewachagua ili watutafutie njia za maendeleo ambayo mbali ya kuzuia ufisadi lakini wakishaona kuwa kuna tatizo basi wawe mstari wa mbele kubuni utatuzi wa tatizo hilo. Ni nani alietowa angalau ushauri kwa TANESCO au serikali vilivyo chini ya hali ngumu ya fedha, na baadae ushauri huo ukajadiliwa na kupuuzwa?
NACHUKIA UFISADI LAKINI NACHUKIA PIA WALE WANAOJINUFAISHA NA KILIO CHETU CHA MAPAMBANO YA UFISADI na nawapongeza wote waliowawazi na kutojali lawama katika kutetea maslahi ya Taifa.